Jazeera Airways Reports 10.3% Decline in H1 2026 Profits Amid Geopolitical and Operational Challenges, Revenue Grows 13.4%

Jazeera Airways today announced its financial results for the first half of 2026, reporting a 10.3% year-on-year decline in net profit to KD 8.6 million, as significantly higher fuel prices and reduced operating capacity offset the benefits of stronger yields during one of the most challenging operating periods in the airline's history.

The temporary closure of Kuwait International Airport from 28 February, followed by ongoing operational restrictions, significantly disrupted the airline's network and limited capacity throughout much of the first half. Following the airport closure, Jazeera rapidly launched Mission Barakah, maintaining Kuwait's connectivity through alternative operations via the Kingdom of Saudi Arabia before restoring full operations from its Terminal 5 (T5) on 3 May.

Despite the operational disruption, operating revenue increased 13.4% year-on-year to KD 115.8 million, reflecting resilient customer demand, disciplined commercial execution and a strong rebound in travel following the resumption of operations. Robust holiday and Hajj demand during the second quarter drove higher passenger volumes and stronger yields, demonstrating the resilience of the airline's business despite continuing operational constraints.

During the first half, Jazeera operated 11,106 sectors, offering 1.9 million seats and carrying 1.5 million passengers, with a load factor of 79.1% while maintaining a market share of 35.9%. The airline's operational resilience and commercial execution were reflected in its second-quarter performance. Group operating revenue increased 45.5% year-on-year to KD 70.7 million, driven by exceptionally strong demand. 

In Q2 2026, the airline operated under restricted airport opening hours, with no transfer passenger operations, while intermittent airport and airspace closures continued to impact operational efficiency and capacity. Jazeera reported Profit after Tax (PAT) of KD 9.6 million, demonstrating resilience in a tough operating environment. 

Marwan Boodai, Chairman of Jazeera Airways, said:

"The first half of 2026 presented one of the most significant challenges in Jazeera Airways' history. The temporary closure of Kuwait International Airport tested the resilience of our business, but it also demonstrated the strength of our people, our operating model and our ability to respond with speed and agility.

While profitability in the first half of 2026 was impacted by significantly higher fuel costs and reduced operating capacity during the period, we delivered 13.4% revenue growth year-on-year, reflecting resilient customer demand, and disciplined commercial execution. Through Mission Barakah, we ensured Kuwait remained connected to the world during an unprecedented period of disruption while positioning the business for continued resilience in the second half of the year.

As we continue operating in a constrained environment, we remain focused on executing our long-term strategy by investing in our network, our people and customer experience, while maintaining financial discipline and creating sustainable long-term value for our shareholders."

Financial Highlights

Q2 2026

• Operating revenue: KD 70.7 million, up 45.5%
• Profit After Tax (PAT): KD 9.6 million, up 99.2%
• Passengers: 607k, down 40.6%
• Load factor: Increased 4.5 percentage points from 71.9 to 76.5

H1 2026

• Operating revenue: KD 115.8 million, up 13.4%
• Profit After Tax (PAT): KD 8.6 million, down 10.3%
• Passengers: 1.5 million, down 32.3%
• Load factor: Increased 3.6 percentage points from 75.5 to 79.1

Operational Overview

Jazeera Airways demonstrated exceptional resilience during one of the most challenging periods in Kuwait’s aviation history. Following the closure of Kuwait International Airport, the airline became the first to restore operations by launching Mission Barakah on 11 March. This alternative operating model, based in Saudi Arabia, kept Kuwait connected to key destinations. Jazeera mobilized 14 aircraft, more than 500 employees and critical operational assets, coordinated over 9,000 cross-border bus movements, and facilitated more than 1,500 flights carrying over 200,000 passengers.

Temporary operational hubs across five airports in Saudi Arabia (Qaisumah, Dammam, Jeddah, Madinah) and Egypt (Cairo) further supported Hajj operations, enabled a rapid return to Kuwait, and reinforced the airline’s market position.

During the first half of 2026, Jazeera Airways continued to launch new services to Milan Bergamo and Aleppo, further expanding its network. The airline also completed the retrofit of lightweight seats across its fleet, increasing capacity to 180 seats per aircraft and improving operating efficiency.

Outlook

Even in an extraordinary and uncertain operating environment, Jazeera Airways continues to execute its business strategy with discipline. While travel demand remains below historical levels and operational constraints persist, the airline remains focused on expanding its network, strengthening commercial partnerships, investing in digital innovation and operational excellence, and delivering long-term value to customers and shareholders. Supported by a resilient, low-cost business model and a disciplined approach to cost management, Jazeera is well positioned to navigate the current environment while capitalising on opportunities as market conditions continue to improve.

About Jazeera Airways

Founded in 2004, Jazeera Airways is a leading low-cost carrier based in Kuwait, serving over 5 million passengers across a network of more than 70 destinations in the Middle East, Central and South Asia, Africa, and Europe.

Dedicated to offering affordable, high-quality air travel, Jazeera Airways caters to business, leisure, religious, and weekend travellers, all while maintaining the highest standards of safety and customer service.

Jazeera Airways currently operates a modern and efficient fleet of 22 Airbus A320ceo and A320neo aircraft, enabling it to optimize fuel efficiency and reduce environmental impact. 26 new aircraft from its orderbook, 18 A320neos and 8 A321neos are expected to arrive end of 2026 onwards. 

The only publicly traded airline on the Kuwait Stock Exchange (Boursa Kuwait), Jazeera Airways was recognized as a Fortune 500 Arabia company and named "Great Place to Work" in 2023. 

A trailblazer in the aviation sector, Jazeera Airways has introduced several digital initiatives to its customer experience and is one of the first to design, build, and operate its own terminal, Jazeera Terminal 5 (T5), at the Kuwait International Airport.

For more information visit: www.jazeeraairways.com